ELIX Polymers to shut ABS plant for maintenance in late August

MOSCOW (MRC) -- ELIX Polymer is in plans to take off-stream its acrylonitrile-butadiene-styrene (ABS) plant for maintenance, as per Apic-online.

A Polymerupdate source in Europe informed that the company has schedule to start turnaround at the plant by end-August, 2020. The plant is likely to remain off-line for around 15 days.

Located in Tarragona, Spain, the plant has a production capacity of 180,000 mt/year.

As MRC reported previously, leading ABS producer ELIX Polymers is collaborating with a large group of companies within ClusterMAV, the Advanced Materials Cluster of Catalonia, Spain, in the fight against COVID-19. The partners are working in collaboration with the National Federation of Innovative Business Groups and Clusters (FENAEIC), which focuses on promoting collaboration between federations, clusters and their partners, within the European Cluster collaboration platform.

ELIX Polymers is donating a medical-grade material, ELIX ABS 3D-FC, in response to high demand from hospitals for medical masks, valves for ventilators and other medical devices. This product, developed for transformation into filaments for FFF (Fused Filament Fabrication) 3D printing, is now being used by Ford Motor Company (which has switched some of its production in automobiles to medical equipment), research organization AIMPLAS, and two Spanish plastics processors, PESL and SIIM.

We remind that in June 2018, ELIX Polymers, a thermoplastics manufacturer located in Tarragona's Poligono Sur industrial complex, announced a new investment amounting to EUR4 million, whose objective is to optimize its ABS powder production facilities. The company began executing this new project in 2018, which it continued to develop and consolidate throughout the year of 2019.

According to MRC's ScanPlast report, the estimated consumption decreased in January-June 2020 by 18% year on year in the Russian ABS sector, totalling 19,360 tonnes. 2,680 tonnes of ABS plastics were processed in Russia in June 2020.

ELIX Polymers is one of the most important manufacturers of ABS resins and derivatives in Europe, with 40 years of experience in engineering plastics and an installed capacity of 180,000/year from their plant in Tarragona (Spain) to the world. The operation starts in 1975, when the Tarragona ABS and SAN production plant was inaugurated.
MRC

MOSCOW (MRC) -- Eneos Corporation (formerly known as JXTG Nippon Oil & Energy) is on track to restart its fluid catalytic cracker (FCC) unit in Japan on 10 August, 2020, according to Apic-online.

The company halted operations at this unit on July 28, 2020.

Located at Sendai, Japan, the FCC unit has a propylene capacity of 100,000 mt/year.

As MRC reported earlier, JXTG Nippon Oil & Energy brought on-stream its FCC in Sendai on 2 August, 2019. The unit was shut for maintenance, on June 10, 2019.

Propylene is the main feedstock for the production of polypropylene (PP).

According to MRC's DataScope report, PP imports into Russia rose in the first six months of 2020 by 21% year on year to 105,300 tonnes. Propylene homopolymer (homopolymer PP) accounted for the main increase in imports.

Japan's largest refiner JXTG Nippon Oil & Energy was renamed ENEOS Corporation on 25 June, 2020, as part of a wider re-organization of the parent company JXTG Holdings. The move, which also involved renaming the parent company to ENEOS Holdings upon approval at its annual shareholders meeting in June 2020, comes as it strives to be a more comprehensive energy and materials company under its 2040 vision announced in May, 2019. JXTG Holdings was formed as a result of a merger between JX Holdings and TonenGeneral in April 2017. This followed the establishment of JX Holdings as a result of the merger between Nippon Oil and Nippon Mining Holdings in April 2010.
MRC

MOSCOW (MRC) -- GranBio, a 100% Brazilian industrial biotechnology company, and NextChem, Maire Tecnimont's subsidiary for energy transition announced a strategic partnership to achieve global leadership in the licensing of patented GranBio 2G Ethanol technology to produce cellulosic ethanol, said the company.

GranBio's 2G Ethanol technology converts lignocellulosic, non-food biomass to renewable, low carbon intensity biofuels. NextChem is partnering with GranBio to license this technology worldwide. The alliance combines GranBio's technology and knowledge in second generation biomass and biofuels with NextChem's engineering intelligence, EPC capabilities and Group global presence, to offer integrated services, feasibility studies, integration projects, engineering and construction of manufacturing plants around the world.

The technology developed by GranBio to produce 2G ethanol has already been implemented in its factory located in Sao Miguel dos Campos, in Alagoas, the first in the Southern Hemisphere dedicated to cellulosic ethanol.

"We will be pioneers in this business model, leading the development of the cellulosic ethanol industry globally. Some countries already recognize the renewable carbon premium; our flexible method allows the use all types of agricultural waste and energy crops as feedstocks, such as cane straw, miscanthus, and corn stover and even leftover wood such as pine and eucalyptus. With the Alliance with NextChem, we have the ambition to conquer a significant share of the available market: we have the security and reliability that our technology is very promising," says Paulo Nigro, CEO of GranBio.

"This partnership with GranBio improves our technological portfolio in biofuels with a flexible and profitable solution to produce ethanol, a globally used chemical with many established industrial applications and enormous potential," says Pierroberto Folgiero, CEO of NextChem and Maire Tecnimont. "GranBio's reference plant is the only one of this kind, on an industrial scale, in operation at a worldwide level. We are confident in a winning solution that we shall be able to industrialize everywhere, thanks to our worldwide presence and engineering capabilities."

As MRC informed earlier, Eni and NextChem, the Maire Tecnimont Group’s subsidiary for green chemistry, strengthen their partnership one year after their first agreement.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polypropylene (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 595,170 tonnes in the first five month of 2020, up by 10% year on year. Deliveries of all ethylene polymers, except for linear low density polyethylene (LLDPE), rose partially because of an increase in capacity utilisation at ZapSibNeftekhim. At the same time, PP shipments to the Russian market was 457,930 tonnes in January-May 2020 (calculated by the formula production minus export plus import). Deliveris of exclusively PP random copolymer increased.

GranBio, a 100% Brazilian industrial biotechnology company, controlled by GranInvestimentos S.A., creates solutions to transform biomass into renewable products.

Maire Tecnimont S.p.A., is the head company of an industrial group leader in the natural resources processing industry. Its subsidiary, NextChem operates in the field of technologies for the energy transition.
MRC

MOSCOW (MRC) -- MOL (Budapest, Hungary) has reported a 58% decline year on year (YOY) in its downstream EBITDA earnings to USD110 million for the second quarter on a current cost of supply (CCS) basis, due largely to negative refinery margins, despite a “resilient” contribution from its petrochemical activities, reported Chemweek.

The company, which does not break out its petchem earnings separately, says the quarter featured major operational challenges “with unprecedented price and margin movements.” The contribution from its petchems activities “remained resilient, as both margins and volumes held up reasonably well during the pandemic,” it says.

MOL’s integrated petchem margin averaged EUR431/metric ton (USD507/metric ton) in the quarter, up 2% YOY, with robust sales, especially in May when it recorded its highest ever sold volume, it says. The integrated petchem margin declined gradually during the quarter from a very high level in March and April as oil prices rose, “but the margin overall remained at a supportive level in both the second quarter and July,” it notes.

The company’s polyols project is now 65% complete, with all major prefabricated equipment on site and the transportation of all oversize equipment via river or sea completed, MOL says. “While some small delays are likely due to the pandemic, MOL remains fully committed to complete this flagship investment according to plans,” it says. Capital expenditure on the polyols project totaled USD101 million in the second quarter.

MOL’s total olefins production in the quarter was down 5% YOY at 504,000 metric tons, while total butadiene production plunged 62% to 23,000 metric tons. Total polymers production was virtually flat YOY at 301,000 metric tons. External total petchem sales output totaled 372,000 metric tons, up 6% on the prior-year quarter, with the company’s polymer products making up the majority of the total with 307,000 metric tons of sales, up 12% YOY.

MOL swung to a net loss for the group in the second quarter of USD142 million, from earnings of USD270 million a year earlier, on sales that declined 45% YOY to USD2.59 billion due to the pandemic and the worldwide economic crisis, it says. It has reconfirmed its 2020 capex guidance of up to USD1.5 billion.

As MRC informed before, in late March, 2020, Hungarian MOL Group started production of hand and surface sanitizers to offer protection against the coronavirus.

We remind that MOL Petrochemicals Company (formerly known as TVK, part of the MOL Group), the only Hungarian producer of olefins and polyolefins, announced force majeure on the supply of polypropylene (PP) from plant No. 4 at the petrochemical complex in Tiszaujvaros (Tiszaujvaros, Hungary) on 23 September 2019.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polypropylene (PP).

According to MRC's DataScope report, PE imports to Russia dropped in January-June 2020 by 7% year on year to 328,000 tonnes. High density polyethylene (HDPE) accounted for the main decrease in imports. At the same time, PP imports into Russia rose in the first six months of 2020 by 21% year on year to 105,300 tonnes. Propylene homopolymer (homopolymer PP) accounted for the main increase in imports.

MOL Hungarian Oil and Gas PLC is an integrated oil and gas company. The Company produces crude oil, petroleum products, bitumens, lubricants and natural gas. MOL owns and operates refineries, oil and gas pipelines, service stations, and natural gas storage facilities.
MRC

MOSCOW (MRC) -- Cabot Corporation (Boston, Massachusetts) reports a fiscal third-quarter net loss of USD6 million, down from income of USD32 million in the year-ago quarter, said Chemweek.

Net sales totaled USD518 million, down 39% year-over-year (YOY) from USD845 million. The company attributes the results to the sharp decline in the automotive and tire sectors. Adjusted earnings per share came to a 7-cent loss, down from profit of USD1.00 in the year-ago period, and short of the average analyst estimate of a 2-cent loss as compiled by Refinitiv (New York).

"Volumes and product mix across our businesses declined by over USD100 million in the third quarter as compared to the prior-year quarter, driven primarily by lower demand in the tire and automotive sectors as manufacturers temporarily halted production in response to the COVID-19 pandemic," says president and CEO Sean Keohane. “As the quarter progressed, our customers slowly restarted operations during May and June. The sequential improvement in monthly reinforcement materials volumes through the quarter is a positive indicator that we are exiting the quarter in a stronger position than where we started."

Keohane expects the improving economic outlook and a recovery in the underlying automotive and replacement tire markets to drive a substantial improvement in volume and EBIT during the current quarter.

The reinforcement materials segment turned an EBIT loss of USD5 million, down from profit of USD72 million in the year-ago quarter, on sales of USD197 million, down 57% YOY from USD461 million. Globally, volumes decreased 42% year-over-year as the COVID-19 pandemic significantly impacted demand, says Cabot. The COVID-19 impact was most pronounced in both the Americas and EMEA as temporary customer shutdowns impacted volumes in both regions.

The performance chemicals segment turned in EBIT of USD21 million, down YOY from USD37 million, on sales of USD220 million, down 12% YOY from USD251 million. Cabot cites volume declines tied to COVID-19, a less favorable product mix in specialty carbons, and a more competitive pricing environment in fumed metal oxides.

The purification solutions turned in EBIT of USD2 million, up YOY from USD1 million, on sales of USD63 million, down 14% YOY from USD73 million. Cabot attributes the EBIT gain to higher margins from improved pricing and lower fixed costs.

As MRC informed earlier, Cabot (Boston, Massachusetts) apparently has to put restrictions in place, at least to a certain extent. The company says its coronavirus emergency plans have taken effect to ensure that only personnel critical to production are still working at its European and North American facilities.

As MRC informed earlier, Russia's output of chemical products rose in June 2020 by 2.6% year on year. However, production of basic chemicals increased year on year by 4.9% in the first six months of 2020. According to the Federal State Statistics Service of the Russian Federation, polymers in primary form accounted for the greatest increase in the output in January-June. Production of benzene was 106,000 tonnes in June 2020, compared to 110,000 tonnes a month earlier. Overall output of this product reached 721,000 tonnes over the stated period, up by 3.9% year on year.

Cabot Corporation is an American specialty chemicals and performance materials company headquartered in Boston, Massachusetts. The company operates in over 20 countries with 36 manufacturing plants, eight research and development facilities and 28 sales offices.

MRC